Muscle Cars, Like Dinosaurs, Once Ruled the Earth

Detroit, or the world, has never produced an1969 Boss Mustang with a 429ci Engine originally
automobile that rivals the muscle cars of thecost $4,150 and today trades for $115,000. That
1960's and early 1970's. They were big, powerfulis a 9.6% return over the same period.
and wonderfully unrefined. No one would call themGranted these are examples of the rarest and
sports car in the traditional sense. They were notmost sought after muscle cars. However, even
nimble and curves were dangerous at most any"common" muscle cars have experienced notable
speed. However, what they lacked ingains. The 1970 Plymouth Road Runner with a
sophistication they made up for in brut force. In440ci engine sold for $3,500 and today trades at
many ways the GTO's, Mustangs, Road Runners$55,000. A 1967 Pontiac GTO cost $3,750 and
and their brethren represented the Americannow goes for $45,000. That's a 6.8%
character better than any vehicle past or present.compounded rate of return.
Simplicity, dependability, strength and singularity ofThe investor in muscle cars must consider a few
purpose were their calling cards. No one couldvery important points. First, all investments have
confuse the purpose of these beasts. It was plainrisks. This market, like real estate or technology
for all, and it was straight-line performance forstocks, could fall as fast as it has risen. Second,
one quarter of a mile. Nothing else mattered.unlike stocks and money market investments,
Contrast that with today and the lore of daysmuscle cars do not pay dividends or interest.
past becomes even more apparent. A newIndeed, they cost money to maintain, store and
Corvette will defeat even the most powerfulrestore. Third, rarity matters. As the numbers
Corvette of old in every category. The currentabove show, the rarest muscle cars have
generation of performance cars thumps thepreformed the best. Finally, get a second opinion
muscle car in safety, comfort, reliability and, yes,when considering a classic muscle car. Mechanics
performance. But, that does not tell the wholeare a good choice and a mechanic that has
story and it doesn't explain the current interest inactually restored a few cars is the best choice.
and corresponding sky rocketing values of classicNothing beats experience.
muscle cars. The clarity of purpose these superObviously, one of the most important variables to
cars exuberated just feels good. It awakens theconsider when considering muscle cars as an
cave man in each of us! These automobiles haveinvestment is the condition. Only the most original
a particular hold on the generation that came ofand accurately restored examples fetch these
age in the late 1960's. Many feel that this is theirprices. More common versions or cars in lower
last chance to re-live their youth and they areconditions will sell for significantly less. For the
willing to pay for the opportunity.collector that actually wants to drive their cars
For example, a 1970 Dodge Hemi 'Cuda sold forregularly these more common versions may
$4,035 new and well-preserved models areactually be a better value.
routinely offered and $150,000 today. ThatThe choice of a rare collector muscle car or a
represents and 10.6% annual return. Not a badcommon daily driver depends on the budget and
return considering the stock market has returnedthe purpose of the collector. Both offer unique
7.4% annual over the same period. Similarly, andbenefits to the owner and much enjoyment. The
1970 Chevy Chevelle SS convertible with a 454cichance to re-live our youth is always a pleasant
engine sold for $4,200 new and to will costexperience.
around $115,000 or a 9.7% annual return. Finally, a